The number of foreign exchange participants is not the number of investors who want to trade as many as they want, but the risk that their positions can bear when trading online foreign exchange. The number of foreign exchange participants is proportional to the risk. In general, we suggest that the margin required to build a position should not exceed 20% of our total capital, otherwise there will be a risk of position explosion. For example, the margin we need to trade one dollar against yen is $2.50.
As the only non credit currency in the world, gold is different from paper currency, deposit and other monetary forms. It has a very high value, unlike other currencies, which are only the representatives of value, and its own value is very small. In extreme cases, money will equal paper, but gold will never lose its value as a precious metal. Therefore, it can be said that gold can be regarded as the representative of eternal value. The most obvious manifestation of this significance is the investment value of gold …
The number of traders is the number of orders made by traders. One standard hand in online foreign exchange transactions represents 100000 base currencies, 0.1 hand represents 10000 base currencies, and 0.01 hand represents 1000 currency units. Due to different currency values and real-time changes in exchange rates, the margin will increase or decrease at any time. Therefore, investors need to calculate the amount of money required for different trading hands according to the size of trading leverage and specific currency pairs.
The impact of the US dollar on the gold market has two main aspects. One is that the US dollar is the marked currency in the international gold market, so it has a negative correlation with the gold price. Assuming that the gold price itself has not changed, the US dollar will fall, On the other hand, gold is an alternative investment tool for us dollar assets. In fact, in the years before 2005, the price of gold kept rising, and one of the main factors was the sharp decline of US dollar for three consecutive years.
Floating exchange rate system means that the Central Bank of one country does not stipulate the official exchange rate between its own currency and that of other countries, and allows the exchange rate to be determined spontaneously by the foreign exchange market. When the supply of foreign currency exceeds the demand, the foreign currency depreciates, the local currency appreciates, and the foreign exchange rate falls. On the contrary, the foreign exchange rate rose.
Option is the price agreed by the buyer and the seller in the future, with the right to purchase a certain amount of subject matter rather than the obligation. If the price trend is favorable to the option buyer, it will exercise its rights and gain profits. If the price trend is adverse to it, the right to purchase will be waived, and the loss will only be the cost at the time of option purchase. Because there are many and complex investment strategies in gold option trading, it is not easy to master them. At present.
All friends who are interested in foreign exchange investment know that foreign exchange transaction types include foreign exchange margin transaction and foreign exchange firm offer transaction. Speculation in foreign exchange market is also called “stare”, that is, foreign exchange investors always observe the trend of foreign exchange market, without any slack. The exchange rate is changing all the time. Foreign exchange investors need to know the real-time market situation of foreign exchange market and learn how to look at the market.
Generally speaking, the buyers and sellers of gold futures sell and buy back the same number of contracts as the previous contracts before the expiration date of the contract, that is to say, close positions, without real delivery of real gold. The profit or loss of each exchange is equal to the difference between two contracts in the opposite direction. This kind of business is what people usually call “speculation”. Gold futures contracts only need about 10% of the transaction amount of the deposit as the investment cost, which has greater leverage, a small amount of funds to promote large-scale transactions.